13 WTHR - Indianapolis News |Spectra Energy posts 3rd-quarter decline
Member Center:
 |
 |
HOUSTON (AP) - Natural gas transport and storage company Spectra Energy Corp. on Thursday said its third-quarter earnings sank 35 percent due in part to lower commodity prices.
Quarterly earnings declined to $191 million, or 30 cents per share, compared with $296 million, or 48 cents per share, during the same period last year.
Results beat analyst expectations of 26 cents per share, according to a survey by Thomson Reuters.
Revenue dropped 16 percent to $933 million, down from $1.08 billion a year ago. Analysts forecast an average revenue of $986.2 million.
The company said strong performance at its fee-based business offset "much lower" commodity prices.
Additionally, declining profits and a lower effective tax rate pushed down income tax expense from continuing operations by nearly two-thirds to $54 million from $145 million in the prior-year quarter.
Looking ahead, Spectra said its on track to meet its earnings-per-share target of $1.15 for 2009. Analysts are predicting a profit of $1.14 per share.
Spectra shares fell 2 cents to $19.45 in midday trading.
(This version CORRECTS the day of the week in the lead.)
Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
